Online advertising has become the new sensation. If you're a business owner or marketing professional evaluating your return on investment (ROI), online advertising makes sense. Using online advertising to target potential customers on a local level has become much easier and has helped local businesses join the party that national brands have been enjoying.
The fastest-growing segments of online advertising are the local sector, anything targeted, and everything involving social media. National brands will increase their targeted ads, but the biggest growth is targeted online ads by local advertisers, according to Borrell Assoc.
Smart marketers are moving ad dollars to online as digital has become a powerful branding medium as well as an effective direct response tactic. Research from ComScore shows that even with minimal clicks, digital advertising can lift online and offline sales.
The growth in targeted online ads will certainly impact cable advertising budgets. Cable was always considered less of a reach medium than network TV, but a way to reach more specific audiences, often at a much higher CPP.
With the increase of targeted online ads and the ability to track ROI for online, cable TV will see a decrease in their ad dollars in the next five years. Online advertising’s ability to reach a niche audience and to do it much cheaper will force cable to become more cost effective.
Creatively, online offers a huge advantage. Ads can be more inactive, targeted to a specific audience and shared on social channels.
Online platforms provide advertisers a new way to communicate. Your 2012 advertising strategy needs to utilize digital platforms and social media channels.